The
Challenge
with
Canadian
Innovation
Parminder Singh
President, Intellectual Ventures Canada
December 2011
© 2011 Intellectual Ventures
1
opening statement(s)?
Research & Development done in Canada is some of
the best in the world.
Translation (technical and business) of this R&D into
Innovations and Technologies that are
Commercially Viable is where we are failing.
If we do not address this problem the economic
impact to Canada in the coming years will be
staggering.
what is innovation?
...innovation may be defined as an idea that leads to the
creation of a new product, process or service ...
…innovation cause an improvement in efficiency, productivity,
quality, competitive positioning or market share…
…an innovation is only valuable if it is used….
…innovations are created as a result of need…
Market
Commercialization
Technology
Innovation
Invention
Research
Idea
Need
Life
Transistor
Discovered in 1947
William Shockley
John Bardeen
Walter Brattain
innovation multipliers?
Every Innovation Circle Forces New Innovation
To Be Created.
Bipolar Junction
Transistor
Systems
Architecture
Heat
Management
Every Innovation Circle Utilizes Existing
Innovation In A New Way.
Manufacturing
Processes
Materials
Science
Mathematical
Optimization
Logistics
Management
Auto Industry
Spacecraft
Design
Every Innovation Circle Tends to Optimize
Adjacent Layers.
Earthquake
Monitoring
Distributed
Sensing
Transportation
Algorithms
Beauty is in the eye of the beholder
Not all innovations should
be commercialized.7
Manufacturing
Risk
Germination
Market
Preparation
Transformation
Monetization
Market Value
Risk
Idea  Monetization
Monetization
Production and Distribution
Funding
Risk
Deployment of
Marketing Mat.
Funding Gap
Marketing
Preparation
Marketing Research & Brand
Development
Production
Logistics
Support
Prep. For Pilot
Manufacturing
Prototype
Development
Research & Development
Idea
8
Investors
Persistence Zone
Production
global perception!
• Canadian Research and Innovation is second-to-none.
• Canada is a great place to buy/acquire high quality
innovation at a cheap price.
• Canadian innovation is undervalued with respect to
evaluations of similar technologies from the US,
Europe and Asia.
• Canadian technology incubation is paid for by the
Canadian government.
– Investor
– Tax Payer
the Canadian challenge
•
•
•
•
•
Universities
We have the funding problem.
We are content and happy with the status-quo.
We don’t see innovation through a commercial
lens.
Industry
We are too dependent on our US neighbors.
We don’t understand how to do business in Asian
Inventors
markets.
• We have an inferiority complex.
• We don’t think big.
10
Governm
nt
CSDD
(corporate strategy deficit disorder)
•
•
•
•
Corporations have shorter attention spans.
Corporations have shifted - strategic to tactical.
Corporations need to answer to shareholders.
Corporate needs change very rapidly.
•
•
Technology is evolving faster then predicted.
Technology has a short lifespan.
Universities
Industry
Inventors
All of the above is driven mostly by the consumer
demand and corporate greed.
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Governm
nt
false sense of superiority
• The west can no longer depend on its R&D
and Innovation to stay competitive globally.
• Asia is becoming a consumer rather than a
producer cheap good for the west.
• China will overtake the US in number of
patents filed in the US in 2013.
(myth in the West)
Brazil
India
China
Korea
Russia
Middle-East
Eastern Europe
“the London-based think tank Demos warned in a report that "the center of
gravity of innovation has started moving from the West to the East,"
and that China could become a "scientific superpower" by 2050. China
cranked out more than 600,000 engineers in 2005 alone, and India
produces nearly 500,000 technical grads annually.” – Newsweek Magazine
radical thoughts for Canada
1. Canadian government should take a direct benefit for
funding Canadian incubation.
2. 150+ organizations that distribute federal and provincial
money in Canada need to become profit centers.
3. Pool of University TTO’s so that they can benefit with
volume.
4. CECR’s need to become more than communication
channels for start-up and business – they need to become
partner channels with global contacts.
5. Canada needs Mid-Stage Expansion Capital.
6. Structure where market feedback drives research grants.
7. Fund engineering and science education for Canadians
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Thank you.
Questions?
14
Intellectual Ventures
Invention
Development
Fund
© 2011 Intellectual Ventures
15
what we do?
“Invest in Research, Inventions
and Innovations that generate
Intellectual Property”
Creation of inventions
Protection of inventions
Packaging of inventions
Monetization of inventions
Intellectual Ventures Confidential
16
Invention Development Fund
…the Invention
Development Fund
(IDF) is a private equity
fund that invests in
cultivating novel ideas
through partnerships with
universities, industry,
governments, and
individual inventors
from around the world….
Universities
Industry
Intellectual Ventures Confidential
Government
Inventors
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our Vision
…the IDF becomes the catalyst that monetizes research
and innovation by aggregating common ideas and
connecting the best ideas to global markets through
licensing partnerships…
Intellectual Ventures Confidential
18
Our Team
…we work within multiple
ecosystems to achieve
an educated
understanding of global
markets, innovation
trends, and can provided
guidance as to the
direction of commercially
viable research.
Scientific
Analysts
Intellectual Ventures Confidential
Invention
Licensing
Patent
19
our
thinking
50 patents in a common theme are
worth more than 50 individual patents.
Global
Partnerships
Strategic
Organization
of Assets
Targeted
Global
Licensing
Intellectual Ventures Confidential
Sharing Value
With Inventor
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•IP Theme Space
$$$$
•Secure IP through
partnerships from top
inventors around the world
$$$
•Organize IP into
portfolios and common
themes
$$
Primary Patents
•License IP portfolio or
selected patents to Fortune
500 companies around the
world
Secondary Patents
•Share IP License
Revenue with Inventors
Intellectual Ventures Confidential
Support Patents
Associated Patents
$
areas for Partnership?
Themes Within ……
Life Sciences
Physical Sciences
Information Technology
“Game Changing”
“Disruptive”
“Unique”
Applicability 5-12 Years
Intellectual Ventures Confidential
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Thank you.
Questions?
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